Housebuilding Industry Forecasts January 2026

According to the latest Construction Product Association forecasts, housebuilding this year is expected to grow between 0.4% and 4% depending on the economic factors that affect consumer and business confidence, including unemployment levels, interest rates and real wages growth.

From today’s standpoint, 2027 is looking brighter, with the CPA forecasting growth in housebuilding of between 4.4% and 6%.

@RachelReeves and @SteveReed, remember how much growth building just 100 houses can bring to the UK economy (see the calculations here https://www.scottste.co.uk/blog/its-the-economy/, based on the Home Builders Federation calculator) and reconsider the tax policies that are affecting employment and confidence in housebuilding and so many sectors!

James Scott
MD

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